Update shared on 05 Nov 2025
Fair value Increased 1.05%Analysts have raised their price target for Fortis to C$69.47, a modest increase. They cited updated financial models and adjustments to growth and profit expectations.
Analyst Commentary
Analysts offered a range of perspectives following recent updates to their price targets for Fortis. Their views reflect both optimism for the company’s growth trajectory as well as some caution regarding long-term risks and execution.
Bullish Takeaways- Bullish analysts have increased their price targets, citing confidence in the company’s revised growth outlook and profitability improvements.
- There is optimism around Fortis’s ongoing ability to deliver stable returns through updated financial models and strategic investments.
- Several positive ratings have emphasized the potential for continued outperformance in the sector, reinforcing confidence in Fortis’s business fundamentals.
- Recent upward revisions to valuation reflect analyst expectations that Fortis will meet or exceed growth projections in the coming quarters.
- Some analysts remain cautious, maintaining less favorable ratings even as targets are raised. They cite concerns over Fortis’s ability to execute on its growth strategy amid regulatory and market challenges.
- There is ongoing scrutiny regarding earnings consistency and whether the company can sustain its current pace of capital investment.
- Apprehension persists about the broader sector’s volatility impacting Fortis’s valuation. This prompts a more restrained outlook from certain major firms.
What's in the News
- The Board of Directors of Fortis has declared a dividend of $0.64 per share for the fourth quarter of 2025. The dividend will be payable on December 1, 2025, to shareholders of record as of November 17, 2025 (Key Developments).
- Fortis announced the launch of its FortisPay extension for Adobe Commerce. The extension has earned Adobe Commerce App Assurance Program Certification, strengthening the company's offerings in secure, scalable payment solutions (Key Developments).
- Fortis entered into an agreement for a private placement, issuing senior unsecured notes for gross proceeds of CAD 750 million with interest at 5.100% per annum, due December 4, 2055. The transaction closed on September 4, 2025 (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from CA$68.75 to CA$69.47.
- Discount Rate has increased moderately, moving from 6.05% to 6.32%.
- Revenue Growth projections have decreased modestly, declining from 4.69% to 4.38%.
- Net Profit Margin has increased marginally, up from 15.15% to 15.39%.
- Future P/E has climbed notably, from 20.74x to 25.80x.
Disclaimer
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